Bitcoin recovery wobbles as US hints at aggressive interest rate hikes
![](https://www.cityam.com/wp-content/uploads/2021/11/crypto-am-daily-5.jpeg?w=512)
The Bitcoin price is down three per cent this morning, as the recovery we’ve seen this week across global financial markets wobbled. The leading cryptocurrency is around 13 per cent lower compared to its price last week, and is currently valued at about $36,500.
The drop follows a US Federal Reserve statement again indicating an impending interest rate rise. At a press conference last night, Federal Reserve chair Jerome Powell hinted that there could be an aggressive string of interest rate rises that will begin in March. Powell told reporters there was “quite a bit of room to raise interest rates without threatening the labour market”.
Asia-Pacific markets fell to their lowest level in 15 months, while the London stock market has opened lower, with the blue-chip FTSE 100 index down 0.6 per cent. Other cryptocurrencies took a similar hit, with Ethereum also down by about two per cent compared to its price yesterday morning, and is currently priced at $2,400.
The crypto market is rarely in a more fearful state than right now. While some thick-skinned crypto ‘hodlers’ seem to never be bothered by a bit of market volatility, more than two months of extreme fear has undoubtedly scared away some inexperienced crypto investors.
Historically, the market has rewarded holders for their perseverance during difficult market conditions, though. Will it do so again?
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All feedback on Crypto AM Daily in association with Luno is welcome via email to James.Bowater@cityam.com 🙏🏻
Yesterday’s Crypto AM Daily in association with Luno
![price of Bitcoin](https://www.cityam.com/wp-content/uploads/2021/11/crypto-am-daily-5.jpeg?w=512)
In the markets
The Bitcoin economy
*Definitions and insights can be found at https://bytetree.com/insights/
Total crypto market cap
The total capitalisation of the entire cryptocurrency market at time of writing is currently $1,621,776,238,303, down from $1,691,715,996,544 yesterday.
What Bitcoin did yesterday
We closed yesterday, January 26 2022, at a price of $36,852.12, down from $36,954.00 the day before. The daily high yesterday was $38,825.41 and the daily low was $36,374.91.
This time last year, the price of Bitcoin closed the day at $30,432.55. In 2020, it closed at $8,909.82.
Bitcoin market capitalisation
Bitcoin’s market capitalisation at time of writing is $683.99 billion. To put it into context, the market cap of gold is $11.491 trillion and Tesla is $941.4 billion.
Bitcoin volume
The total spot trading volume reported by all exchanges over the last 24 hours was $32,418,712,132, up from $27,840,957,085 yesterday. High volumes can indicate that a significant price movement has stronger support and is more likely to be sustained.
Volatility
The price volatility of Bitcoin over the last 30 days is 53.29%.
Fear and Greed Index
Market sentiment today is 20, in Extreme Fear.
Bitcoin’s market dominance
Bitcoin’s market dominance today is 42.54. Its lowest ever recorded dominance was 37.09 on January 8 2018.
Relative Strength Index (RSI)
The daily RSI is currently 29.23. Values of 70 or above indicate that an asset is becoming overbought and may be primed for a trend reversal or experience a correction in price – an RSI reading of 30 or below indicates an oversold or undervalued condition.
Convince your Nan: Soundbite of the day
“The Lightning community is about building, not hype. Lightning is a marathon, not a sprint, and we’re bringing Bitcoin to the next billion people.”
Elizabeth Stark, Cofounder and CEO of Lightning Labs
What they said yesterday
👀
Bitcoin knows no borders…
Bitcoin is inevitable…
Crypto AM: Editor’s picks
Crypto crazy couple name baby after favourite digital asset
![Cryptocurrency-loving parents Bruno Karno and his wife Agatha have named their first-born Cardano in honour of their favourite crypto.](https://www.cityam.com/wp-content/uploads/2022/01/DSC05702-e1641920873613.jpg?w=1024)
Bitcoin hashrate touches new all time high
![Bitcoin mining company - Illustrations of Cryptocurrency](https://www.cityam.com/wp-content/uploads/2021/08/Bitcoin-Illustrations-of-Cryptocurrency-1320843458.jpg?w=1024)
Peter McCormack: Transforming Bedford FC into a global Bitcoin brand
![In an interview with Crypto AM, Bitcoin investor and podcaster Peter McCormack opens up about his purchase of Bedford FC.](https://www.cityam.com/wp-content/uploads/2021/12/Peter-McCormack-horizntal-.jpg?w=1024)
Exclusive: FTSE plots development of digital asset index in crypto push
![FTSE Continues To Fall Amid Growing Concerns Over Recession](https://www.cityam.com/wp-content/uploads/2020/11/FTSE-Continues-To-Fall-Amid-Growing-Concerns-Over-Recession-83416864-scaled.jpg?w=960)
Crypto could give London a unique post-Brexit advantage, says Hammond
![This image has an empty alt attribute; its file name is 001-philip-hammond-cutout-57ed5191a2921-57ed5191b2a36.jpg](https://www.cityam.com/wp-content/uploads/2013/12/001-philip-hammond-cutout-57ed5191a2921-57ed5191b2a36.jpg?w=839)
Diamond claws: Crypto trading hamster dies after standout investing career
![The first hamster to become a crypto investment guru, Mr Goxx, has died of unknown causes.](https://www.cityam.com/wp-content/uploads/2021/11/Mr-Goxx-dead.jpeg?w=1024)
New cryptocurrency named ‘JRR Token’ blocked by lawyers for Lord of the Rings creator Tolkien
![This image has an empty alt attribute; its file name is ring-g1445cfd83_1920.jpg](https://www.cityam.com/wp-content/uploads/2021/11/ring-g1445cfd83_1920.jpg?w=960)
El Salvador to build Bitcoin city at base of volcano
![Bitcoin city](https://www.cityam.com/wp-content/uploads/2021/11/El-Salvador-president.jpeg?w=1000)
Crypto AM: Features
Crypto AM: Founders Series
![](https://www.cityam.com/wp-content/uploads/2020/07/GettyImages-1169704211.jpg?w=960)
Crypto AM: Industry Voices
![Changpeng 'CZ' Zhao, CEO of Binance](https://www.cityam.com/wp-content/uploads/2021/07/CZ-Binance.jpg?w=960)
Crypto AM: Contributors
Crypto AM: In Conversation with James Bowater
![Charles Hoskinson and James Bowater landscape](https://www.cityam.com/wp-content/uploads/2021/04/Charles-Hoskinson-and-James-Bowater-landscape-scaled.jpg?w=960)
Crypto AM: Tomorrow’s Money with Gavin S Brown
![Tomorrow's Money with Gavin S Brown](https://www.cityam.com/wp-content/uploads/2021/11/Gavin-S-Brown-Crypto-AM.jpg?w=960)
Crypto AM: Mixing in the Metaverse with Dr Chris Kacher
![Dr Chris Kacher Mixing in the Metaverse](https://www.cityam.com/wp-content/uploads/2021/08/Dr-Chris-Kacher-Mixing-in-the-Metaverse-4.jpg?w=902)
Crypto AM: Visions of the Future, Past & Present with Alex Lightman
![Alex Lightman Visions of the future, past and present](https://www.cityam.com/wp-content/uploads/2021/08/Alex-Lightman-Visions-of-the-future-past-and-present.jpg?w=960)
Crypto AM: Tiptoe through the Crypto with Monty Munford
![Monty Munford robbed out header](https://www.cityam.com/wp-content/uploads/2021/08/Monty-Munford-robbed-out-header.jpg?w=903)
Crypto AM: Taking a Byte out of Digital Assets with Jonny Fry
![Jonny Fry Taking a Byte out of Digital Assets](https://www.cityam.com/wp-content/uploads/2021/11/CAMD-G89-1024-JFry-copy-6.jpg?w=960)
Crypto on the catwalk
![Stefania Barbaglio Crypto on the Catwalk](https://www.cityam.com/wp-content/uploads/2021/09/CAMD-G89-1024-SBarbaglio.jpg?w=960)
Crypto AM: Events
For those of you who missed the Crypto AM DeFi & Digital Inclusion online summit 2021 – you can now watch the event in two parts via YouTube
Part One
https://www.youtube.com/watch?v=dvqNMNZTIDE
Part Two
https://www.youtube.com/watch?v=WXhX_-Tr5j0
Cautionary Notes
It’s definitely tempting to get swept up in the excitement, but please heed these words of caution: Do your own research, only invest what you can afford, and make good decisions. The indicators contained in this article will hopefully help in this. Remember though, the content of this article is for information purposes only and is not investment advice or any form of recommendation or invitation. City AM, Crypto AM and Luno always advise you to obtain your own independent financial advice before investing or trading in cryptocurrency.
All information is correct as of 08:00 BST